Passenger vehicle sales nosedive 31% in July

NEW DELHI:Domestic passenger vehicle sales in July dived at the steepest pace in nearly two decades, an auto industry body said on Tuesday, as a financing crunch deepened a crisis in the country’s auto sector and triggered large-scale job losses.

Passenger vehicle sales nosedive 31% in July

ROBINSINGH@TRIBUNE.COM

New Delhi, August 13 

Domestic passenger vehicle sales in July dived at the steepest pace in nearly two decades, an auto industry body said on Tuesday, as a financing crunch deepened a crisis in the country’s auto sector and triggered large-scale job losses.

Sales of passenger vehicles to car dealers plunged 30.9% to 200,790 units in July, the ninth straight month of decline, data released by the Society of Indian Automobile Manufacturers (SIAM) showed.

The drop in sales is the worst since December 2000, when the industry sold a fifth of the vehicles it sells currently.

The crisis in the auto sector presents a major problem for Prime Minister Narendra Modi’s government, just as he begins his second term in office, as the sector accounts for nearly half of India’s manufacturing output. The auto industry employs over 35 million people directly and indirectly. “If this industry goes down, then everything gets hurt.

Manufacturing, jobs and revenue to the government,” Vishnu Mathur, director general, SIAM, told reporters on Tuesday, adding that car and motorcycle manufacturers have already slashed about 15,000 jobs. — Reuters

Steepest fall in nearly two decades

  • The auto sector accounts for nearly half of the country’s manufacturing output. The auto industry employs over 35 million people directly and indirectly
  • The industry accounts for 7% of GDP 
  • GDP growth rate, currently at 5-year low, could fall further
  • India’s jobless rate climbed to 7.51% in July from 5.66% a year earlier, according to private data group CMIE

Cities

View All

4 Lakhi Jungle panches move no-trust vote against sarpanch

Allege she was not consulting them before taking decisions

Woman booked for duping husband of Rs 20L

After calling him to Canada, she left him citing ‘extramarit...

100 trees face axe for road to Mohali

UT completes formalities to acquire 13 acres in Dadu Majra &...

2019: Quantum jump in drug seizure

226 were held with drugs, including cocaine, charas, ganja, ...

DSP opens fire at wife, booked

Narrow escape for victim as bullet misses shoulder

Ahead of elections, Kejriwal brings out ‘guarantee card’

Delhi CM promises free bus rides for students, mohalla marsh...

Tile work ‘choking’ trees

Council of Engineers lodges complaint with NGT chief

Dyers move NGT against ministry order

Have been asked to construct canal for waste discharge

Rs 35-cr building at GMC yet to open

Health Corporation, college authorities blame each other for...

No swine flu cases in dist this season

61 cases were reported in 2019; Health Dept taking proactive...